AVT Natural Products Ltd

Price story Before the numbers, the tape. A stock price moves through four repeating seasons: a flat base (stage 1), an advance (2), a top (3), a decline (4). Where the price sits in that cycle frames everything below.

AVT Natural Products Ltd trades at ₹90.1, in a confirmed uptrend and 13 weeks into that stage. That is +24.7% against its own 200-day average. It sits at 97% of a 52-week range of ₹56 to ₹91. On relative strength it has been ahead of the NIFTY 500 on a trailing-13-week view for 5 straight weeks.

Today the stock is in a confirmed uptrend — week 13 of stage 2, confirmed. At ₹90.1 it trades +24.7% versus its 200-day average and sits at 97% of its 52-week range (₹56–₹91).

Against the market, two honest reads. Cumulative: over the last 10.5 years the stock moved +218% while the NIFTY 500 moved +267% — behind the index over the full window. Recent form: on a trailing-13-week view the stock has been ahead for 5 straight weeks — the ribbon below is that same metric, week by week.

What would end the trend, mechanically: two Friday closes in a row below the 200-day line. That is the exit rule — no debates.

Story check

AVT Natural Products Ltd's story is not scored yet against the markers our research file set on 27 June 2026. Where it sits in its own cycle: Not stated in the research file. Still open: A further deterioration in working capital where operating cash flows remain negative for another two quarters despite reported profit growth.

Our read, 27 June 2026. Deep PE compression at the trough of an earnings cycle, with EPS now recovering, but cash conversion remains weak due to bloating working capital.

From the numbers. The stock is in the early stages of an expansion cycle, with the PE ratio at 16.9x, below its 10-year median. The setup is supported by recovering earnings off a cyclical trough.

From the price. Price stage 2, week 13 — above its 200-day line, relative strength rising.

From the research. Deep PE compression at the trough of an earnings cycle, with EPS now recovering, but cash conversion remains weak due to bloating working capital.

🚨 Where they disagree. The stock is in the early stages of an expansion cycle, with the PE ratio at 16.9x, below its 10-year median. The setup is supported by recovering earnings off a cyclical trough.

What is proven. Deep PE compression at the trough of an earnings cycle, with EPS now recovering, but cash conversion remains weak due to bloating working capital.

What is not proven yet. A further deterioration in working capital where operating cash flows remain negative for another two quarters despite reported profit growth.

🚨 What would change our mind. A further deterioration in working capital where operating cash flows remain negative for another two quarters despite reported profit growth.

Layer 1 read, 22 August 2026 — KEEP. Revenue, margin and profit rising together for four quarters at the cheapest multiple here - but zero concalls exist.

What would change Layer 1’s mind. One quarter where revenue keeps rising but operating margin falls back below 12% would break this, because the entire case is margin normalisation off a 7% trough and there is no management guidance to fall back on. The second thing that would flip it is FY27 half-year operating cash flow staying negative while the day-counts start RISING again - that would mean the terms genuinely are deteriorating and my correction of C003 was reading one good year.

Layer 2 read, 22 August 2026 — ADVANCE. The maize cycle is improving and no external veto appeared, but the evidence base is still thin. AVT's quarterly revenue and operating margin rose through FY26, and the fallback sector series shows the same direction. The timeline is synthetic and FAILED validation, so ADVANCE means send it to the next check, not trust the growth without filing- or call-backed proof.

What would change Layer 2’s mind. A filing or management call showing that the four-quarter revenue rise was acquisition- or base-effect-led rather than organic would flip this ADVANCE to DROP.

Layer 3 read, 22 August 2026 — BENCH. Recovery is visible, but cash quality and management proof are too weak to fund. Operating cash flow was only ₹12 Cr against ₹65 Cr profit, and no management call explains the gap. Working-capital days improved to 167, so the Timeline's bloat diagnosis is too harsh, but volatile raw materials and the unverified June growth surge keep management and earnings quality on watch.

What would change Layer 3’s mind. FY27 half-year operating cash flow of at least ₹20 Cr with inventory and debtor days stable or falling would reopen DEPLOY; another negative period while profit rises would push toward DROP.

The test written in advance. A further deterioration in working capital where operating cash flows remain negative for another two quarters despite reported profit growth. — the thesis as written as stated by the next result.

The test written in advance. Working Capital Bloat — Working Capital Bloat OCF remains negative in H1 FY27. by the next result.

What the company does. AVT Natural Products is currently emerging from an earnings trough with trailing EPS recovering, leading to a deep multiple compression (PE 16.4x vs 10-year median 20.1x). While Q4 FY26 shows a revenue bump to 226 Cr and margin recovery to 16%, the quality of this growth is marred by severe working capital bloat, absorbing cash and turning OCF negative in recent years. This presents a classic cyclical recovery setup, though capped by weak cash conversion and inventory buildup.

🚨 What the surface reading misses. The surface reading is: Working capital days improved to 167 days in FY26, marking a five-year low in working capital intensity. The research reads it further: The contraction in working capital days reflects faster cash conversion and reduced capital tie-up during revenue growth.

🚨 What the surface reading misses. The surface reading is: Weak cash flow generation The research reads it further: Profits are being tied up in inventory and receivables, indicating poor earnings quality

Sources: our stock research file (27 June 2026) · quarterly results through Jun 26. The story check is re-scored every results season; the record below never changes.

Revenue Revenue is the top line: everything the company billed its customers in the period.

AVT Natural Products Ltd reported ₹241 Cr of revenue in the Jun 26 quarter, +82.6% year on year. That is the 7th straight quarter of year-on-year growth. Over 10 years it has compounded at 10.0% a year. The last full year, FY26, came in at ₹713 Cr. The last four reported quarters add to ₹821 Cr.

FY26 revenue came in at ₹713 Cr (+27.5% on the year), capping 10 years at 10.0% compound. The latest quarter (Jun 26) printed ₹241 Cr, +82.6% year on year — the 7th consecutive quarter of year-over-year growth.

Pace check: the last four quarters averaged +42.4% growth against the decade's 10.0% — the current year is running faster than its own long-run rate.

Acceleration check: trailing-twelve-month revenue grew +40.6% over the last 4 quarters against +25.8%/yr over the last 8 — accelerating; TTM profit +53.7% vs +27.6%/yr — accelerating.

FY26-Q4. revenue ₹226 Cr and profit ₹22 Cr as reported.

FY27-Q1. revenue ₹241 Cr and profit ₹31 Cr as reported.

Why-sources: our stock research file (27 June 2026) and the company’s own results for those quarters.

Operating margin Operating margin is what is left of every ₹100 of sales after running the business, before interest and tax. It is the cleanest read on pricing power and cost control.

AVT Natural Products Ltd's operating margin is 17.0% in the Jun 26 quarter, +5.0 percentage points against the same quarter a year ago. Across 13 fiscal years the operating margin has ranged 10.0% to 25.0%. The current quarter sits inside that band.

Why this happened. OPM has recovered to 16% in Q4 FY26 from a low of 7% in Q2 FY25, driving the earnings inflection.

The latest quarter's operating margin is 17.0%, +5.0 pp against the same quarter a year ago. Across 13 fiscal years the operating margin has ranged 10.0%–25.0%.

Why the margin moved: operating margin went +4.5 pp year on year while gross margin went −7.5 pp — the gain came mostly from the gross line: input costs and pricing.

FY26-Q4. revenue ₹226 Cr and profit ₹22 Cr as reported.

FY27-Q1. revenue ₹241 Cr and profit ₹31 Cr as reported.

Why-sources: our stock research file (27 June 2026) and the company’s own results for those quarters.

Net profit Net profit is what survives every cost, interest and tax — the number EPS, dividends and book value all grow from.

AVT Natural Products Ltd earned ₹31.0 Cr of net profit in the Jun 26 quarter, +158.3% year on year. It is the 2nd consecutive quarter of growth. Full-year FY26 profit was ₹65.0 Cr. The 10-year compound rate is 11.4%. That is 12.9% of the quarter's revenue. The same quarter a year earlier earned ₹12.0 Cr.

Jun 26 profit was ₹31.0 Cr, +158.3% year on year — the 2nd consecutive quarter of growth. On the full year, FY26 printed ₹65.0 Cr (+35.4%), and the 10-year compound rate is 11.4%.

Why profit moved: revenue contributed +82.6% and the margin +5.0 pp — the quarter was margin-led: most of the profit growth came from keeping more of each sale.

Pace comparison, last four quarters: profit +77.3% vs revenue +42.4%. Profit is growing faster than sales — fixed costs are being spread over a bigger base, and each extra rupee of revenue drops more to the bottom line.

FY26-Q4. revenue ₹226 Cr and profit ₹22 Cr as reported.

FY27-Q1. revenue ₹241 Cr and profit ₹31 Cr as reported.

Why-sources: our stock research file (27 June 2026) and the company’s own results for those quarters.

Cash flow — the router The P&L says what was earned; the cash-flow statement says what actually arrived. Operating cash flow (CFO) against profit is the cleanest lie detector in the accounts.

Over the last 3 fiscal years 48% of AVT Natural Products Ltd's reported profit arrived as operating cash — a gap worth watching. In FY26 that was ₹12.0 Cr of operating cash against ₹65.0 Cr of profit. After ₹16.0 Cr of capital spending, ₹−4.0 Cr was left as free cash.

FY26: operating cash of ₹12.0 Cr against reported profit of ₹65.0 Cr, leaving free cash of ₹−4.0 Cr after ₹16.0 Cr of capital spending. Across the last 3 fiscal years the conversion rate is 48% of profit.

Cash-flow readings here are annual — that is the resolution our series carries, so this section moves once a year.

🚨 Why conversion sits at 48%: the cash cycle stretched 52 days between FY21 and FY26 — more of each rupee of profit waits inside the cycle before arriving. Less than 70% of profit arriving as cash is the thing to watch on this page.

Router verdict: conversion is below par and the cash cycle has stretched 52 days — the next section's job is to find where the cash is stuck.

Where the cash goes Working capital is the cash tied up between paying suppliers and getting paid: debtor days (customers owe), inventory days (stock waits), and the cash conversion cycle (the whole loop, in days of sales).

AVT Natural Products Ltd's cash conversion cycle runs 327 days in FY26, up from 275 days in FY21. Capital spending ran ₹42.0 Cr over the last 3 years. At FY26 sales of ₹713 Cr each day of that cycle holds about ₹2.0 Cr, so roughly ₹639 Cr sits inside the business at any moment.

FY26: debtors at 123 days, inventory at 348 days — roughly 11.4 months of stock waiting to sell; that is where the cash sits while it waits — for a full cycle of 327 days, looser than FY21's 275.

The full loop: cash goes out to suppliers and production on day 0; stock waits 348 days to sell; customers pay about 123 days after that; and suppliers themselves are paid at 143 days — netting out to the 327-day cycle.

In money terms: at FY26 sales of ₹713 Cr, each day of the cycle holds about ₹2.0 Cr — so the 327-day loop keeps roughly ₹639 Cr sitting inside the business at any moment.

On the investment side: capital spending of ₹42.0 Cr over the last 3 fiscal years against ₹39.0 Cr of depreciation — building somewhat ahead of wear-and-tear. Capital work-in-progress stands at ₹0.0 Cr (FY26) — capacity paid for but not yet earning.

The synthesis: the working-capital loop is the cash sink the router flagged — watch the cycle, not the P&L.

Return on capital Return on capital employed (ROCE) is the profit the whole business earns on all the money in it — equity and debt together. It is the single best test of whether growth creates value or just size.⚠ unverified

AVT Natural Products Ltd earns a ROCE of 14% in FY26. That is up from a trough of 11% in FY19. Return on invested capital clears the cost of that capital by +0.4 percentage points, so growth here adds value rather than only size. The wiring behind it is 9.1% net margin on 0.84× asset turns.

FY26 ROCE is 14%, recovered from a FY19 trough of 11% — the full ladder below shows the fall and the climb, undoctored.

Why the return is what it is — the wiring (FY26): 9.1% net margin × 0.84× asset turns × 1.51× balance-sheet leverage ≈ 11.5% on equity. Margin does its share; leverage is modest — this is an earned return, not a borrowed one.

The capstone test — ROIC − WACC: 12.4% − 12.0% = a +0.4 pp spread. The 12.0% is a standing assumption for the cost of capital in India, not a per-stock estimate — read the sign and the size of the spread, not the decimals. Positive but thin — value creation with little room for error.

Debt Debt-to-equity says how much of the business is funded by borrowings. Low is the safe corner; the trend matters as much as the level.⚠ unverified

AVT Natural Products Ltd carries total debt of ₹114 Cr against shareholder equity of ₹559 Cr as of Mar 26, a debt-to-equity of 0.20 — effectively unlevered. On the annual view that ratio went from 0.07 in FY22 to 0.20 in FY26. The returns elsewhere on this page are therefore earned rather than borrowed.

Mar 26: total debt of ₹114 Cr against shareholder equity of ₹559 Cr — a debt-to-equity of 0.20. On the annual view, debt-to-equity went from 0.07 (FY22) to 0.20 (FY26). The returns on this page are earned, not borrowed.

Ownership Who owns the stock, quarter by quarter: promoters (the controlling owners), foreign and domestic institutions, and the public. Steady accumulation by people close to the numbers is a signal; a quiet register is also an answer.

No holder of AVT Natural Products Ltd moved a full percentage point over the last two years — the register is quiet. Foreign institutions moved +0.0 points over the same window, to 0.0%. The register is read on the four disclosed classes only; nothing is inferred between filings.

The register over the last two years — Promoters: +0.0 points over 8 quarters to 75.0%; Foreign institutions: +0.0 points over 8 quarters to 0.0%; Domestic institutions: +0.0 points over 8 quarters to 0.0%.

Safety line The Z-score estimates how far a company sits from balance-sheet distress — above roughly 3 is safe, below roughly 1.8 is the danger zone. It was built for manufacturers, so it is not applied to banks and lenders.

AVT Natural Products Ltd: the Z-score is not available for this stock, so we say so rather than invent one. It is a distance-to-distress estimate from the balance sheet, not a forecast of failure. The debt, cash-flow and return sections above carry the balance-sheet evidence this page does hold, and each of them states its own reporting date.

The safety line in one sentence: the Z-score is not available for this stock, so we say so rather than invent one.

Valuation P/E is the price of ₹1 of annual profit: how many rupees the market pays for each rupee the company earns in a year.

AVT Natural Products Ltd trades at 16.4× P/E, near the bottom of its own range — cheaper only 13% of the time. Its long-run median P/E is 20.1×, measured across 10.5 years of weekly readings. This places the multiple against the stock’s own record, and says nothing about what the business is worth.

Today's P/E of 16.4× is near the bottom of its own range — cheaper only 13% of the time, against a long-run median of 20.1× measured over 10.5 years of weekly readings. This is a comparison against the stock's own history — not a claim about what it is worth.

Why the multiple sits where it does: over the past year annual EPS moved +34.4% against a +18.3% price move — earnings outran the price, pushing the multiple DOWN its own range.

The price move, decomposed: over 5y, of the +3.3%/yr price move, ~+9.3%/yr came from earnings growth and ~−6.0 pp from the multiple (compressing); over 10y, of the +11.6%/yr price move, ~+14.7%/yr came from earnings growth and ~−3.1 pp from the multiple (compressing). The split is the honest approximate (price return minus earnings growth); it makes the rally itself visible instead of hiding it behind the percentile.

Put together: the multiple is low against its own past, so the story rests on the earnings line underneath it, not the multiple.

A quarterly PEG curve, which only the second data source carries, is not drawn on this page: its two data sources do not share enough overlapping reported history to be compared. A figure nobody could check is not used to price growth — the gap is a decision, not missing data.

What the price assumes This reading works the multiple backwards. It asks one question: what yearly rate of profit growth is a buyer at the market price already paying for? The number is the growth rate that makes eleven years of profit — six years growing, then five fading — add up to that day's market price, once each year is discounted at 11% a year.

Solved at its 27 August 2026 price, AVT Natural Products Ltd was paying for profit growth of about 8.9% a year. Profit itself has compounded 11.4% a year over the past 10 years. Today the market pays 16.4× P/E, the 13th percentile of its own 11-year range.

What the two numbers say together. The multiple is low against its own past, and the growth the price is paying for is close to what this company has actually delivered.

How to hold this number: it is a reading of one day's price, taken on 27 August 2026, not a running figure — every other number on this page, the multiple included, is read off the live quote as of 11 September 2026. A higher price is paying for more growth and a lower price for less, so it moves whenever the price does, and this page does not restate it between measurements.

Stage: Improving Every business sits somewhere on a fundamental arc, and this page names the spot before anything else. The last twelve quarters of revenue, profit and EPS growth — plus the return the business earns on its capital — are read as curves: Deteriorating (the curves are falling), Turning around (a trough has just formed and the last few quarters lift off it), Improving (the climb off the trough is sustained), Consistent (steadily positive with healthy returns), Topping out (still high but decelerating from the peak). When the curves genuinely disagree the read is Mixed; too little history is No read. CAGR (compound annual growth rate) is the smooth yearly pace that turns the starting value into the latest one — the fairest way to compare growth across different time spans. Read the columns together: if the 1-year number towers over the 10-year, recent growth is running hotter than the long-run trend. A dash means that window is not held, or the base year was a loss (where a growth rate is not meaningful).

AVT Natural Products Ltd reads as improving on its fundamental arc. Improving — profit growth bottomed 5 quarters ago at −9.4% and has held its recovery at +53.7%, ROCE holding at 14.0%. The read is built from 8 quarters across 4 curves, on partial evidence.

Why it matters: a sustained climb off the trough is the setup this page is built to catch — the question moves to what you pay for it.

Return readings here are annual, not quarterly — read as level and direction only; they can confirm the growth curves but never drive the stage on their own.

A partial read: at least one curve is short, or the returns curve is not the computed quarterly series — hold the stage word a little more loosely.

4-Factor Sector Score

79.0/100 — rank 1 of 4 in Agricultural Processing - Maize · 84% evidence confidence

AVT Natural Products Ltd scores 79.0 out of 100 against the 4 companies it is compared with in Agricultural Processing - Maize, ranking 1. Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.

The four contributions add to the total exactly: 31.9 + 14.4 + 12.7 + 20 = 79. This is the SAME number shown on the sector comparison — it is computed once, for the whole peer set, and read here.

What would change it: The read weakens if profit growth turns negative or margin improvement reverses while sector-relative strength deteriorates.

Frequently asked questions